Alberta-Ottawa agreement both improves and hobbles Canada’s most important climate policy

The federal government and the Government of Alberta have reached an agreement that aims to address the issue of carbon pricing in Alberta while maintaining consistency with the pan-Canadian framework on clean growth and climate change. This agreement is significant because it represents a compromise between two key players in Canada's climate policy landscape, which could set a precedent for future negotiations. The essence of this deal is that Albertans will now be required to pay a carbon levy if they purchase gasoline or diesel fuel. The federal government has agreed to provide revenue tr…